Evonik Venture Capital sold its stake in Synoste Oy to Globus Medical. Evonik did not disclose the deal's financial terms. Synoste is a Finnish startup that developed a minimally invasive implant for the treatment of leg length discrepancy, pictured above. The implant lengthens the bone gradually over a period of months and is manufactured with polyetheretherketone developed by Evonik.
Globus acquired Synoste in 2Q20 for $23.5 million.
The deal may ultimately bolster Globus' trauma business and aligns with the company's strategy of expanding into a full range of musculoskeletal treatment products. We estimate Globus Medical's trauma segment generated approximately $4 million in revenue for 2019, as the company slowly builds its new business lines. For the first half of 2020, we estimate Globus's trauma sales totaled $3.2 million, +167% vs. the prior year.